VeriFone Systems Reports EPS of $0.42 vs. $0.29; Revenue $284M vs. $270.1M

VeriFone Systems, Inc. PAY today announced financial results for the three months ended January 31, 2011. Net revenues for Q1 FY11 were $284 million, compared to $276 million in the previous quarter and $223 million in the first quarter of fiscal year 2010 (“Q1 FY10”), a 27% year-over-year increase. Services revenue grew by nearly 65% year-over-year and exceeded 20% of total net revenues in Q1 FY11. Non-GAAP gross margins were 41% for Q1 FY11, compared to 40% in the prior quarter and 39% in Q1 FY10. GAAP gross margins for the latest quarter were 39% compared to 38% in the prior quarter and 37% in Q1 FY10. Non-GAAP net income per diluted share for Q1 FY11 was $0.43, compared to $0.40 in the prior quarter and $0.26 for Q1 FY10, a 65% year-over-year increase. GAAP net income per diluted share for the latest quarter was $0.35, compared to $0.55 in the prior quarter and $0.12 in the year-earlier period.